Budget rules


(Steps towards financial planning)

While these are just guidelines, it serves as an example for budget management in each expense category.

Budget rules to get you head start on saving money


The 50/30/20 budget rule is a simple budgeting plan that separates needs, wants, and savings into a three percentage pool. 50% of after-tax income goes for necessities, 30% of the income that goes towards non-essential items & 20% into savings. 

50/30/20 budget rule

Floral Pattern
Floral Pattern

80/20 rule in savings

The 80/20 rule in savings is nothing but a consolidated version of the 50 30 20 rule. Based on the rule, 20% of the after-tax income should go to savings and 80% into needs and wants. The main focus of this rule is the 20% saving.

Also known as the 70 20 10 money rule, the budgeting concept indicates one should spend 70% of after-tax income on expenses, 20% goes to saving, and 10% loan repayment and charity.

70 20 10 budget rule

Floral Pattern
Floral Pattern